skc
Goldmember
- Joined
- 12 August 2008
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- 8,277
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- 329
Some instos are such crazy idiots...
Low yesterday was 52c, price now 82.5c. Those who sold 23m shares must feel awesome today.
Heard on the vines that 11 mil shares from one broker are done. But rumours theres 23 mil still being done by another.
Something is going on.....over 82 cents today. If rumours of a t/o is true, this thing could go up to a $1.
What can you tell us about these "rumours", vincent?
None of my usually reliable sources seem to have heard a peep.
This is a turnaround story, but the turnaround keeps getting pushed back. The current eco climate could result in project delays, which will especially impact the Energy and Infrastructure side of the business due to its high fixed cost base. The mining side of things is also likely to feel some pressure with mining companies threatening to delay or shelve projects, while a recent contract dispute with Peabody could cause some reputation damage. Their FY12 to be strongly weighted toward 2H, but in our view there is downside risk to this forecast. WDS is cheap at current levels (FY13 PE of 5.8x), but we believe it will be difficult for it to generate a significant positive earnings surprise until at least 1H13.
Did someone say "heavily weighted to the 2nd half"....where have we heard that before for a mining service cpy!
This announcement is a big worry for me if I was a holder. It kind of reminds me of FGE a year or so before the bust. Earnings downgrades, contract problems and new leadership....
It's not contract problems. It's just the work is drying up and margins are contracting.
TTN and WDS play in the same CGS area and their path certainly mirroring each other.
WDS REPORTS DOUBLING OF FIRST HALF NET PROFIT AND DIVIDEND - WDS Limited (“WDS”) is pleased to announce its financial results for the half year-ended 31 December 2013.
Highlights
* Net profit after tax (NPAT) $7.4 million and earnings per share 5.1 cents - NPAT up 111.7% on previous
corresponding period (pcp).
* Group revenue of $175.4 million - down 7.1% on pcp.
* Energy Division recorded strong revenue and profit growth with revenue up 19.4% to $144.2 million and EBIT of
$15.2 million (compared with $5.5 million in pcp).
* Mining Division awarded $142.8 million Eagle Downs drifts contract.
* Balance sheet strengthened further with net cash of $49.8 million compared with gearing of 3.3% at June 2013.
* Order book at near record levels with $376.0 million of work in hand.
* Introduction of new dividend policy with increased payout ratio of at least 80% and a move to quarterly payments, commencing with payment of first quarter dividend of 1 cent per share in December 2013
* Second quarterly dividend for 2014 of 2.0 cents per share bringing the total dividends to date for FY14 to 3.0 cents per share to be paid on 27 March 2014.
Commenting on the results, WDS’ Managing Director, Terry Chapman noted “This result further emphasises both the purpose and underlying strength of WDS’ diversified business model with a significant growth in earnings over our results for HY13. These are difficult times for the mining services sector.....
The remainder of the announcement can be read here:- http://stocknessmonster.com/news-item?S=WDS&E=ASX&N=784698
Closed today at $1.08 (up nearly 14% over the past couple of days). This can be attributted to yesterday's very good announcement.
Did someone say "heavily weighted to the 2nd half"....where have we heard that before for a mining service cpy!
This announcement is a big worry for me if I was a holder. It kind of reminds me of FGE a year or so before the bust. Earnings downgrades, contract problems and new leadership....
But everything about WDS is a screaming buy to me, obviously.
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